35SPF trustee may apply to Supreme Court to secure continuing funding of claims

35 SPF trustee may apply to Supreme Court to secure continuing funding of claims

35 SPF trustee may apply to Supreme Court to secure continuing funding of claims

(1) Applications to Supreme Court for approved payment scheme orders The SPF trustee may, with the approval of the Minister, apply to the Supreme Court for orders under subsection (5) if it appears reasonably likely that, for a period of time, there will be insufficient funds for all payable liabilities of a liable entity to be paid in full as and when they fall due for payment.

(2) Rationing directions from SPF trustee pending application approval The SPF trustee may, by written order served on a liable entity (a rationing direction), direct the entity to defer the payment of payable liabilities (whether in whole or in part) in a manner consistent with the rationing requirements for a scheme set out in subsection (7) if—

(a) the SPF trustee has sought but not received approval from the Minister to make an application to the Supreme Court under subsection (1) in respect of the entity, and

(b) the SPF trustee is satisfied that the insufficiency of funds to pay the payable liabilities of the entity requires the urgent rationing of payments pending the receipt of approval from the Minister.

(3) A liable entity is required and authorised to comply with any rationing direction given to it until the direction ceases to have effect.

(4) Unless the Supreme Court orders otherwise (whether in an application under this section or under a provision of Division 9) or the rationing direction is earlier revoked by the SPF trustee, a rationing direction has effect until the Supreme Court determines the application in respect of which approval is sought from the Minister.

Note—

Division 9 contains provisions that enable certain persons (such as the Minister) to apply to the Supreme Court for orders to remedy or restrain a contravention of this Part (see section 54) or for advice or directions concerning the operation of this Part (see section 55).

(5) Supreme Court may make orders establishing approved payment scheme If the Supreme Court is satisfied on an application under subsection (1) that it is likely that there will be insufficient funds for all payable liabilities of a liable entity to be paid in full as and when they fall due for payment, the Supreme Court may make an order approving a scheme (an approved payment scheme) for the payment by instalments of the full amount of payable liabilities due, or the deferral of payment of payable liabilities of the entity, during the period specified by the order (the scheme period).